By Andrea: http://oilshalegas.com
Rex Energy Corp. (REX) announced recently that it will be entering into a joint venture inolving approximately 12.9 net acres of their Marcellus shale assets in Butler County, Pennsylvania:
In Butler County, Pennsylvania, Rex Energy will sell a 15% non-operated interest in 42,200 gross (41,100 net) acres to Sumitomo for approximately $61.6 million, or $10,000 per net acre. One-half of the purchase price will be paid in cash at the time of closing, with the remaining fifty percent of the purchase price to be paid in the form of a drilling carry of 80% of Rex Energy's drilling and completion costs in the area. In connection with the transaction, the parties agreed to form an area of mutual interest (an "AMI") in Butler County. After the sale is completed, Rex Energy will own approximately 34,900 net acres within the Butler County AMI.
Rex Energy will act as the leasing agent in the Butler County AMI. Pursuant to the agreement, Sumitomo has agreed to pay all of the costs to lease approximately 9,000 net acres in the Butler County AMI (the "Phase I Leasing"), and will pay Rex Energy a leasing management fee of $1,000 per net acre during the Phase I Leasing. Upon the conclusion of the Phase I Leasing, Rex Energy and Sumitomo will cross assign interests in the leases to provide a uniformity of interest in each lease in the Butler County AMI. Assuming the full 9,000 net acres are leased, the final ownership percentages in the Butler County AMI would be approximately 70% Rex Energy and 30% Sumitomo, and Rex Energy's net acreage would remain at approximately 34,900 net acres in the AMI.
Rex Energy has also agreed to sell 30% of its interests in twenty Marcellus Shale wells within the Butler County area, including eleven wells in progress, for approximately $19.1 million. In addition, Rex Energy will sell 30% of its interest in Keystone Midstream Services, LLC, a mid-stream joint venture with Stonehenge Energy Resources, L.P., and its existing refrigeration plant for approximately $3.9 million.
For more shale updates, visit: http://blackberrystocks.blogspot.com
For more stock updates, visit: http://daytradingstockblog.blogspot.com
Wednesday, September 1, 2010
Tuesday, August 31, 2010
Westmoreland County, PA - Marcellus Shale Update
By Andrea: http://oilshalegas.com
Rex Energy Corp. (REXX) announced today that it will sell roughly 22,100 net acres in it's Marcellus shale assets, half of those acres residing in Westmoreland County, PA:
In Rex Energy's Marcellus Shale joint venture project areas operated by Williams Production Appalachia, LLC, Rex Energy will sell 20% of its interests in approximately 44,200 gross (22,100 net) acres for $35.9 million, or $8,115 per net acre. One-half of the purchase price will be paid in cash at the time of closing, with the remaining fifty percent of the purchase price being paid in the form of a drilling carry of 80% of Rex Energy's drilling and completion costs in the areas. After the sale, Rex Energy will own approximately 6,700 net acres within the Westmoreland County AMI, and 11,000 net acres within the Central Pennsylvania AMI.
Additionally, Rex Energy will sell 20% of its interests in nineteen Marcellus Shale wells located in the Williams joint venture areas, including five wells in progress, for $5.7 million, and 20% of its interests in the Williams joint venture midstream assets for approximately $822,000.
Under the agreement, Rex Energy will sell 50% of its interests in approximately 4,600 net acres in Fayette and Centre Counties for $18.5 million, or $8,115 per net acre. One-half of the purchase price will be paid in cash at the time of closing, with the remaining fifty percent to be paid in the form of a drilling carry of 80% of Rex Energy's drilling and completion costs. Pursuant to the agreement, the drilling carry for these areas may be applied, at Rex Energy's discretion, to drilling and completion costs attributable to either the Butler County or Williams joint venture areas. After the sale, Rex Energy will own approximately 2,300 net acres in these areas.
For more shale updates, visit: http://blackberrystocks.blogspot.com
For more stock updates, visit: http://daytradingstockblog.blogspot.com
Rex Energy Corp. (REXX) announced today that it will sell roughly 22,100 net acres in it's Marcellus shale assets, half of those acres residing in Westmoreland County, PA:
In Rex Energy's Marcellus Shale joint venture project areas operated by Williams Production Appalachia, LLC, Rex Energy will sell 20% of its interests in approximately 44,200 gross (22,100 net) acres for $35.9 million, or $8,115 per net acre. One-half of the purchase price will be paid in cash at the time of closing, with the remaining fifty percent of the purchase price being paid in the form of a drilling carry of 80% of Rex Energy's drilling and completion costs in the areas. After the sale, Rex Energy will own approximately 6,700 net acres within the Westmoreland County AMI, and 11,000 net acres within the Central Pennsylvania AMI.
Additionally, Rex Energy will sell 20% of its interests in nineteen Marcellus Shale wells located in the Williams joint venture areas, including five wells in progress, for $5.7 million, and 20% of its interests in the Williams joint venture midstream assets for approximately $822,000.
Under the agreement, Rex Energy will sell 50% of its interests in approximately 4,600 net acres in Fayette and Centre Counties for $18.5 million, or $8,115 per net acre. One-half of the purchase price will be paid in cash at the time of closing, with the remaining fifty percent to be paid in the form of a drilling carry of 80% of Rex Energy's drilling and completion costs. Pursuant to the agreement, the drilling carry for these areas may be applied, at Rex Energy's discretion, to drilling and completion costs attributable to either the Butler County or Williams joint venture areas. After the sale, Rex Energy will own approximately 2,300 net acres in these areas.
For more shale updates, visit: http://blackberrystocks.blogspot.com
For more stock updates, visit: http://daytradingstockblog.blogspot.com
Marcellus shale - Rex Energy Joint Venture
By Andrea: http://oilshalegas.com
Rex Energy Corp. (REXX) announced today that it will be entering into a joint venture with Japanese Company known as Summit Discovery Resources II, LLC. Rex Energy will transfer 12,900 net acres of their Marcellus shale assets including Marcellus shale wells and mid-stream assets. The transaction is valued at roughly $140.4 million. Under the transaction, Sumitomo will pay approximately $88.4 million in cash upon closing and an additional $52.0 million in the form of a drilling carry. Rex Energy will continue to serve as the operator of its Butler County, Pennsylvania project area.
Pursuant to the agreement, in addition to funding its own share of drilling obligations, Sumitomo has agreed to fund 80% of Rex Energy's remaining share of drilling and completion costs until the $52.0 million drilling carry is fully utilized. The closing of the joint venture transaction is subject to certain conditions, including obtaining any required consents to transfer the interests to Sumitomo. The transaction is expected to close in September 2010.
Benjamin W. Hulburt, Rex Energy President and CEO, commented, "We are extremely pleased to announce this joint venture and look forward to our partnership with Sumitomo. Upon closing this deal, we will once again be debt free with substantial cash on hand. We believe that this will enable us to continue to aggressively develop our assets, while maintaining one of the cleanest balance sheets in the industry. With approximately 91% of our capital being invested in oil and liquids rich gas assets, combined with our debt free balance sheet, we strongly believe we are very well positioned to prosper in the current commodity price environment."
For more shale updates, visit: http://blackberrystocks.blogspot.com
For more stock updates, visit: http://daytradingstockblog.blogspot.com
Rex Energy Corp. (REXX) announced today that it will be entering into a joint venture with Japanese Company known as Summit Discovery Resources II, LLC. Rex Energy will transfer 12,900 net acres of their Marcellus shale assets including Marcellus shale wells and mid-stream assets. The transaction is valued at roughly $140.4 million. Under the transaction, Sumitomo will pay approximately $88.4 million in cash upon closing and an additional $52.0 million in the form of a drilling carry. Rex Energy will continue to serve as the operator of its Butler County, Pennsylvania project area.
Pursuant to the agreement, in addition to funding its own share of drilling obligations, Sumitomo has agreed to fund 80% of Rex Energy's remaining share of drilling and completion costs until the $52.0 million drilling carry is fully utilized. The closing of the joint venture transaction is subject to certain conditions, including obtaining any required consents to transfer the interests to Sumitomo. The transaction is expected to close in September 2010.
Benjamin W. Hulburt, Rex Energy President and CEO, commented, "We are extremely pleased to announce this joint venture and look forward to our partnership with Sumitomo. Upon closing this deal, we will once again be debt free with substantial cash on hand. We believe that this will enable us to continue to aggressively develop our assets, while maintaining one of the cleanest balance sheets in the industry. With approximately 91% of our capital being invested in oil and liquids rich gas assets, combined with our debt free balance sheet, we strongly believe we are very well positioned to prosper in the current commodity price environment."
For more shale updates, visit: http://blackberrystocks.blogspot.com
For more stock updates, visit: http://daytradingstockblog.blogspot.com
Sunday, August 29, 2010
Lee County, Texas: Eagle Ford Shale Update
By Andrea: http://oilshalegas.com
Buccaneer Energy Limited (BCGYF.PK) recently announced the progress of 2 wells in Lee County, Texas in both the Austin Chalk and Eagle Ford shale.
The Alexander # 1 well site location has been built over the last week and the Nicklos # 1 Rig is moving in and rigging up to drill.
The Alexander # 1 well is the third well in the Lee County drilling program and is expected to spud within the next 24 hours.The vertical component of the well is anticipated to have a total depth of 5,800' and will penetrate the Austin Chalk and Eagle Ford shale. Logs will then be run before a 1,500' - 2,500' horizontal component is drilled in the Austin Chalk formation.
The vertical component is expected to take 7-10 days to drill and the horizontal component an additional 15-18 days.
Drilling updates will be made each Wednesday.
For more shale updates, visit: http://blackberrystocks.blogspot.com
For more stock updates, visit: http://daytradingstockblog.blogspot.com
Buccaneer Energy Limited (BCGYF.PK) recently announced the progress of 2 wells in Lee County, Texas in both the Austin Chalk and Eagle Ford shale.
The Alexander # 1 well site location has been built over the last week and the Nicklos # 1 Rig is moving in and rigging up to drill.
The Alexander # 1 well is the third well in the Lee County drilling program and is expected to spud within the next 24 hours.The vertical component of the well is anticipated to have a total depth of 5,800' and will penetrate the Austin Chalk and Eagle Ford shale. Logs will then be run before a 1,500' - 2,500' horizontal component is drilled in the Austin Chalk formation.
The vertical component is expected to take 7-10 days to drill and the horizontal component an additional 15-18 days.
Drilling updates will be made each Wednesday.
For more shale updates, visit: http://blackberrystocks.blogspot.com
For more stock updates, visit: http://daytradingstockblog.blogspot.com
Jones County, Mississippi - Haynesville Shale Update
By Andrea: http://oilshalegas.com
Morgan Creek Energy Corp. (MCKE.OB) announced today that they acquired roughly 21,000net acres of mineral oil and gas leases in the Haynesville shale. The land is located in Lamar, Jones and Forrest County, Mississippi. The agreement resides with Westrock Land Corp. which is a privately owned company. Westrock will own all rights to the land and hold a minimum 75% net revenue interest.
The Company has entered into this agreement with the mineral leaseholder, Westrock Land Corp., and is based on representations that Westrock owns all rights to all depths including the Haynesville Shale Formation, pursuant to the oil and gas leases with a minimum 75% net revenue interest.
For more shale updates, visit: http://blackberrystocks.blogspot.com
For more stock updates, visit: http://daytradingstockblog.blogspot.com
Morgan Creek Energy Corp. (MCKE.OB) announced today that they acquired roughly 21,000net acres of mineral oil and gas leases in the Haynesville shale. The land is located in Lamar, Jones and Forrest County, Mississippi. The agreement resides with Westrock Land Corp. which is a privately owned company. Westrock will own all rights to the land and hold a minimum 75% net revenue interest.
The Company has entered into this agreement with the mineral leaseholder, Westrock Land Corp., and is based on representations that Westrock owns all rights to all depths including the Haynesville Shale Formation, pursuant to the oil and gas leases with a minimum 75% net revenue interest.
For more shale updates, visit: http://blackberrystocks.blogspot.com
For more stock updates, visit: http://daytradingstockblog.blogspot.com
Saturday, August 28, 2010
Tioga County, PA - Marcellus Shale Tax Update
By Andrea: http://oilshalegas.com
Gov. Rendell visited Tioga County, PA in the heart of the Marcellus shale on Friday, August 27 to "repeat his call for the state Legislature to enact a gas severance tax by Oct. 1." Mr. Rendell's plan is to implement a 5% levy on the value of natural gas plus an additional 4.7 cents for each 1,000 cubic feet of gas produced, very similar to the current tax in West Virginia. Marcellus gas producers in the area are not happy with the tax plan, claiming that it is too high, but Mr. Rendell states, "Pennsylvania is the 15th largest production state for natural gas, but is the only major fossil fuel producer that does not levy a tax on natural gas extraction. That's just not fair."
Mr. Rendell estimates $70 million could be generated for the state by the Marcellus Shale tax this fiscal year to help erase a $282 million deficit in the budget.
For more shale updates, visit: http://blackberrystocks.blogspot.com
For more stock updates, visit: http://daytradingstockblog.blogspot.com
Gov. Rendell visited Tioga County, PA in the heart of the Marcellus shale on Friday, August 27 to "repeat his call for the state Legislature to enact a gas severance tax by Oct. 1." Mr. Rendell's plan is to implement a 5% levy on the value of natural gas plus an additional 4.7 cents for each 1,000 cubic feet of gas produced, very similar to the current tax in West Virginia. Marcellus gas producers in the area are not happy with the tax plan, claiming that it is too high, but Mr. Rendell states, "Pennsylvania is the 15th largest production state for natural gas, but is the only major fossil fuel producer that does not levy a tax on natural gas extraction. That's just not fair."
Mr. Rendell estimates $70 million could be generated for the state by the Marcellus Shale tax this fiscal year to help erase a $282 million deficit in the budget.
For more shale updates, visit: http://blackberrystocks.blogspot.com
For more stock updates, visit: http://daytradingstockblog.blogspot.com
Live Oak County, TX - Eagle Ford Shale Update
By Andrea: http://oilshalegas.com
Eagle Ford Oil & Gas Corp. (ECCED) recently announced that they acquired a 1% working interest on 2,400 acres in the Eagle Ford shale located in Live Oak County, Texas. They have begun drilling two wells: the Dena Forehand #2H and the Kellam #2H. Neither well has been completed as of yet. While the two noted wells are the only Eagle Ford shale wells on the newly acquired land that have begun drilling, Eagle Ford Oil & Gas Corp. is planning for a total of 14 wells to be drilled within the next 2 years.
Eagle Ford Oil & Gas President Rick Adams commented, "This acquisition, although a small working interest, is important to Eagle Ford because it marks the first step of implementing our business plan as a pure play oil company in the Eagle Ford Shale formation located in South Texas. We will continue to take advantage of drilling and lease acquisition opportunities that arise in the Eagle Ford Shale formation."
For more shale updates, visit: http://blackberrystocks.blogspot.com
For more stock updates, visit: http://daytradingstockblog.blogspot.com
Eagle Ford Oil & Gas Corp. (ECCED) recently announced that they acquired a 1% working interest on 2,400 acres in the Eagle Ford shale located in Live Oak County, Texas. They have begun drilling two wells: the Dena Forehand #2H and the Kellam #2H. Neither well has been completed as of yet. While the two noted wells are the only Eagle Ford shale wells on the newly acquired land that have begun drilling, Eagle Ford Oil & Gas Corp. is planning for a total of 14 wells to be drilled within the next 2 years.
Eagle Ford Oil & Gas President Rick Adams commented, "This acquisition, although a small working interest, is important to Eagle Ford because it marks the first step of implementing our business plan as a pure play oil company in the Eagle Ford Shale formation located in South Texas. We will continue to take advantage of drilling and lease acquisition opportunities that arise in the Eagle Ford Shale formation."
For more shale updates, visit: http://blackberrystocks.blogspot.com
For more stock updates, visit: http://daytradingstockblog.blogspot.com
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